Court-Ordered Restitution Prevents Bitfinex Hack Funds from Hitting the Market
EH
Ellis Harrington
DeFi exploit · Apr 17, 2026
The transfer of 8.2 BTC, worth approximately $606,000, to Coinbase Prime does not signal a government liquidation. These funds are part of a larger seizure of 94,000 BTC linked to the 2016 Bitfinex hack. While exchange-bound transfers often trigger market speculation, a federal court approved the return of approximately 94,643 BTC to Bitfinex through restitution agreements in early 2025. The ruling established Bitfinex as the sole victim entitled to recovery.
The assets were seized from Ilya Lichtenstein and his wife, Heather Morgan, who pleaded guilty to conspiracy to commit money laundering in 2023. Lichtenstein stole 119,754 BTC from the exchange using 2,000 fraudulent transactions. As part of a 2023 plea deal, the pair forfeited all remaining proceeds from the theft. Bitfinex is the sole victim entitled to recovery of these funds.
DeFi exploitstablecoin US legislationcrypto exchange hackCoinbase
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